MAXIMUS FEDERAL SERVICES awarded $27M contract for Information Services by Pension Benefit Guaranty Corporation

Contract Overview

Contract Amount: $27,013,237 ($27.0M)

Contractor: Maximus Federal Services, Inc.

Awarding Agency: Pension Benefit Guaranty Corporation

Start Date: 2012-06-19

End Date: 2017-12-18

Contract Duration: 2,008 days

Daily Burn Rate: $13.5K/day

Competition Type: FULL AND OPEN COMPETITION

Number of Offers Received: 4

Pricing Type: LABOR HOURS

Sector: Other

Official Description: IGF::CT::IGF

Place of Performance

Location: WASHINGTON, DISTRICT OF COLUMBIA County, DISTRICT OF COLUMBIA, 20005

State: District of Columbia Government Spending

Plain-Language Summary

Pension Benefit Guaranty Corporation obligated $27.0 million to MAXIMUS FEDERAL SERVICES, INC. for work described as: IGF::CT::IGF Key points: 1. Contract value of $27M over 5 years suggests a significant investment in information services. 2. The contract was awarded through full and open competition, indicating a potentially competitive bidding process. 3. The duration of the contract (5 years) allows for sustained service delivery and potential for performance improvements. 4. The contract type is a delivery order, which implies it's part of a larger indefinite-delivery/indefinite-quantity (IDIQ) contract. 5. The primary service category is 'All Other Information Services', a broad classification that requires further detail to assess specific value. 6. The contract was awarded to MAXIMUS FEDERAL SERVICES, Inc., a known entity in government contracting.

Value Assessment

Rating: fair

Benchmarking the value of this $27M contract is challenging without more specific details on the 'All Other Information Services' provided. However, a 5-year duration for such a significant sum suggests a substantial scope of work. Comparing it to similar contracts for broad information services would require access to a wider dataset of comparable procurements. The pricing structure, based on labor hours, can be efficient if managed well, but also carries risks of cost overruns if not closely monitored.

Cost Per Unit: N/A

Competition Analysis

Competition Level: full-and-open

The contract was awarded through 'full and open competition,' suggesting that all responsible sources were permitted to submit bids. The presence of 4 bids indicates a moderate level of competition for this requirement. A higher number of bidders generally leads to better price discovery and potentially lower costs for the government. However, the specific nature of 'All Other Information Services' might limit the pool of qualified bidders.

Taxpayer Impact: Full and open competition is generally favorable for taxpayers as it aims to secure the best value through a competitive process, potentially leading to more cost-effective service delivery.

Public Impact

The Pension Benefit Guaranty Corporation (PBGC) is the primary beneficiary, receiving essential information services. The services delivered likely support the PBGC's mission of protecting retirement incomes. The contract's impact is primarily concentrated within the District of Columbia, where the PBGC is headquartered. Workforce implications are tied to the personnel employed by MAXIMUS FEDERAL SERVICES to fulfill the contract requirements.

Waste & Efficiency Indicators

Waste Risk Score: 50 / 10

Warning Flags

Broad 'All Other Information Services' category lacks specificity, making it difficult to assess the precise nature and value of services.
Labor hour pricing can lead to cost escalation if not meticulously managed and monitored by the agency.
The contract duration of 5 years, while allowing for stability, also means a long-term commitment that requires ongoing performance evaluation.

Positive Signals

Awarded through full and open competition, suggesting a robust and fair procurement process.
The contract has a defined period of performance, providing clarity on the duration of service.
MAXIMUS FEDERAL SERVICES, INC. is an established government contractor, potentially bringing experience and reliability.

Sector Analysis

The 'All Other Information Services' category falls under the broader Information Technology and Professional Services sector. This sector is characterized by rapid technological advancements and a wide range of service providers, from large system integrators to specialized niche firms. Government spending in this area is substantial, supporting various agency functions from data management to cybersecurity. Comparable spending benchmarks would depend heavily on the specific services rendered, but the $27M over 5 years indicates a significant, ongoing need for information-related support.

Small Business Impact

There is no indication that this contract included a small business set-aside. The award to MAXIMUS FEDERAL SERVICES, INC., a large business, suggests that subcontracting opportunities for small businesses may exist, but this would depend on the prime contractor's subcontracting plan. The absence of a set-aside means that small businesses were not specifically targeted for this procurement, and their participation would be through subcontracting or by competing directly if qualified.

Oversight & Accountability

Oversight for this contract would primarily reside with the Pension Benefit Guaranty Corporation's contracting officers and program managers. They are responsible for monitoring performance, ensuring compliance with contract terms, and approving payments. Transparency is facilitated through contract award databases like FPDS. Inspector General jurisdiction would typically fall under the PBGC's Office of Inspector General, which investigates fraud, waste, and abuse in agency programs and contracts.

Related Government Programs

Information Technology Services
Professional Services
Administrative Support Services
Data Management Services

Risk Flags

Lack of specificity in service description
Potential for cost overruns with labor hour contracts
Difficulty in performance benchmarking due to broad service category

Frequently Asked Questions

What is this federal contract paying for?

Pension Benefit Guaranty Corporation awarded $27.0 million to MAXIMUS FEDERAL SERVICES, INC.. IGF::CT::IGF

Who is the contractor on this award?

The obligated recipient is MAXIMUS FEDERAL SERVICES, INC..

Which agency awarded this contract?

Awarding agency: Pension Benefit Guaranty Corporation (Pension Benefit Guaranty Corporation).

What is the total obligated amount?

The obligated amount is $27.0 million.

What is the period of performance?

Start: 2012-06-19. End: 2017-12-18.

What specific types of 'All Other Information Services' were procured under this contract?

The provided data classifies the service under NAICS code 519190, 'All Other Information Services.' This is a broad category that can encompass a wide array of services not elsewhere classified, such as data processing, information archiving, database management, and other information-related activities. Without access to the detailed contract statement of work or performance reports, it is impossible to ascertain the precise nature of the services rendered. These could range from managing large databases of pension plan information to providing analytical tools or supporting the PBGC's internal information systems. The lack of specificity in the service description makes it difficult to evaluate the effectiveness or efficiency of the procured services without further context.

How does the $27M contract value compare to historical spending by the PBGC on similar information services?

To accurately compare this $27M contract value to historical PBGC spending on similar information services, a detailed analysis of past procurements would be necessary. This would involve identifying contracts with similar NAICS codes (e.g., 519190, or other information service-related codes) and service descriptions awarded by the PBGC over several fiscal years. The current data only provides information for this single contract. A comprehensive review would reveal trends in spending, identify periods of increased or decreased investment in information services, and highlight any significant shifts in the types of services procured. Without this historical context, it's difficult to determine if $27M represents a typical, elevated, or reduced level of investment for the PBGC in this domain.

What is the track record of MAXIMUS FEDERAL SERVICES, INC. with the Pension Benefit Guaranty Corporation?

The provided data indicates that MAXIMUS FEDERAL SERVICES, INC. was awarded this specific contract by the Pension Benefit Guaranty Corporation (PBGC). This suggests a prior business relationship. To assess their overall track record, one would need to examine other contracts awarded to MAXIMUS FEDERAL SERVICES by the PBGC, including their value, duration, and performance history. Additionally, reviewing past performance evaluations, any contract disputes, or awards for exceptional performance would provide a more comprehensive understanding of their relationship and effectiveness with the PBGC. A positive track record with the agency would imply successful past performance and a lower risk associated with this contract.

What are the key performance indicators (KPIs) used to measure the success of this contract?

The provided data does not specify the key performance indicators (KPIs) for this contract. Typically, for information services contracts, KPIs might include metrics related to data accuracy, system uptime, response times for information requests, project completion rates, adherence to security protocols, and user satisfaction. The Pension Benefit Guaranty Corporation's contracting officers and program managers would establish these KPIs in the contract's performance work statement. Regular performance reviews would assess MAXIMUS FEDERAL SERVICES, INC.'s adherence to these KPIs. Without access to the contract's performance requirements, it is impossible to objectively evaluate the success or effectiveness of the services delivered.

What is the potential risk associated with the broad 'All Other Information Services' classification?

The primary risk associated with the broad 'All Other Information Services' classification (NAICS 519190) is a lack of specificity regarding the actual services being procured. This ambiguity can lead to several issues: scope creep, where the contractor provides services beyond the original intent; difficulty in performance monitoring, as clear metrics may be hard to define; and challenges in ensuring value for money, as the government may not fully understand what it is paying for. It also makes benchmarking against comparable contracts more difficult. For the PBGC, this could mean paying for services that are not optimally aligned with their strategic information needs or failing to identify potential cost savings if the scope is not tightly managed.

Industry Classification

NAICS: Information › Other Information Services › All Other Information Services

Product/Service Code: SUPPORT SVCS (PROF, ADMIN, MGMT) › MANAGEMENT SUPPORT SERVICES

Competition & Pricing

Extent Competed: FULL AND OPEN COMPETITION

Solicitation Procedures: SUBJECT TO MULTIPLE AWARD FAIR OPPORTUNITY

Solicitation ID: PBGC01-RQ-12-0025

Offers Received: 4

Pricing Type: LABOR HOURS (Z)

Evaluated Preference: NONE

Contractor Details

Parent Company: Maximus Inc (UEI: 082347477)

Address: 3120 FAIRVIEW PARK DR STE 400, FALLS CHURCH, VA, 22042

Business Categories: Category Business, Corporate Entity Not Tax Exempt, Not Designated a Small Business, Special Designations, U.S.-Owned Business

Financial Breakdown

Contract Ceiling: $29,409,344

Exercised Options: $29,409,344

Current Obligation: $27,013,237

Contract Characteristics

Commercial Item: COMMERCIAL ITEM PROCEDURES NOT USED

Cost or Pricing Data: NO

Parent Contract

Parent Award PIID: GS00V08PDD0068

IDV Type: IDC

Timeline